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Chapter 7 Mobile Commerce The Business of Time. Contents. What Is M-Commerce? Why Wireless? Critical Success Factors How Wireless Technology Is Employed Wireless LAN Wireless Application Protocol (WAP) Implications for Management. Introduction.

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Chapter 7 mobile commerce the business of time l.jpg

Chapter 7Mobile CommerceThe Business of Time

Contents l.jpg

  • What Is M-Commerce?

  • Why Wireless?

  • Critical Success Factors

  • How Wireless Technology Is Employed

  • Wireless LAN

  • Wireless Application Protocol (WAP)

  • Implications for Management

Introduction l.jpg

  • Wireless Technology is all things to all people

    • People are searching for ways to keep in touch with anyone, anywhere, at any time

  • In business wireless technology is necessary

  • The term wireless mean transmitting signals over radio waves instead of wires

  • It also mean data communication without physical attachments using

    • Microwave

    • Radio wave

    • infrared

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  • Mobile phones are wireless

  • People use mobile to ( business )

    • Check e-mail

    • Shop on the Internet

  • Yet it is a problem doing business via mobile

    • Limited interface

    • technical problems

    • Security problems

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  • Wireless networks are just effective as wired system

  • Wireless networks

    • Easy to install

    • Easy to operate

    • Eliminate the cost of cabling

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Mobile Commerce: Overview

  • Mobile commerce (m-commerce,

    m-business)—anye-commerce done in a wireless environment, especially via the Internet

    • Can be done via the Internet, private communication lines, smart cards, etc.

    • Creates opportunity to deliver new services to existing customers and to attract new ones

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What Is M-Commerce?

  • M-commerce is the transmission of user data without wires

  • It also refers to business transactions and payments conducted in a non-PC-based environment

  • Focus on services and applications on the mobile phone is what m-commerce all about

  • Message from one person to another is not m-commerce

  • But message from ISP to a person is m-commerce

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What Is M-Commerce?

  • M-commerce:- use of wireless devices to facilitate the sale of products and services, anytime, anywhere

  • M-commerce is not about selling products and services on a mobile devices, they are part of m-commerce

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What Is M-Commerce?

  • The main categories are:

    • Information based

      • Searching web for information

      • Sending e-mail

    • Transaction services

      • Download information

      • Make purchases by a cellular phone

    • Location-centric

      • Personalized services that anticipate your purchases based on your location and data stored in your profile

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m-commerce and e-commerce

  • Physical size (PC versus mobile device)

  • Bandwidth

  • PC-oriented e-commerce employs HTML technology while m-commerce and the wireless web use two distinct development languages wireless Mark-up language (WML) and Handheld Device Mark-up Language (HDML) which require different browser loaded into mobile phone

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Why Wireless?

  • It traces its roots to the invention of the radio back in 1894

  • Wireless networking makes it possible to connect two or more computers without the bulky cables, giving the benefits of a network with little or no labor

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M-Commerce Terminology

  • Generations

    • 1G: 1979-1992 wireless technology

    • 2G: current wireless technology; mainly accommodates text

    • 2.5G: interim technology accommodates graphics

    • 3G: 3rd generation technology (2001-2005) supports rich media (video clips)

    • 4G: will provide faster multimedia display (2006-2010)

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Wireless Technologies

  • Wireless devices are small enough to easily carry or wear, have sufficient computing power to perform productive tasks and can communicate wirelessly with the Internet and other devices.

    • Include PDAs, cellular phones, smart phones.

    • Wireless Application Protocol (WAP) is the standard that enables wireless devices with tiny display screens, low bandwidth connections and minimal memory to access Web-based information and services.

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Wireless Technologies

  • Microbrowsers are

    • Internet browsers with a small file size

    • can work within low-memory constraints of wireless devices and the low bandwidths of wireless networks.

  • Pager is a one-way, wireless messaging system; it alerts the user when it receives an incoming message.

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Terminology and Standards

  • GPS: Satellite-based Global Positioning System

  • PDA: Personal Digital Assistant—handheld wireless computer

  • SMS: Short Message Service

  • EMS: Enhanced Messaging Service

  • MMS: Multimedia Messaging Service

  • WAP: Wireless Application Protocol

  • Smartphones—Internet-enabled cell phones with attached applications

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Attributes of M-Commerce and Its Economic Advantages

  • Mobility—users carry cell phones or other mobile devices

  • Broad reach—people can be reached at any time

  • Ubiquity—easier information access in real-time

  • Convenience—devices that store data and have Internet, intranet, extranet connections

  • Instant connectivity—easy and quick connection to Internet, intranets, other mobile devices, databases

  • Personalization—preparation of information for individual consumers

  • Localization of products and services—knowing where the user is located at any given time and match service to them

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Key Limitations

Wireless limitations address:

  • Distance

  • Speed

    • The speed of wireless network is one-ninth the speed of wired network

  • Crawling pornography

  • Security and security factors

    Tracking users is the number one

    privacy concern

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Critical Success Factors

In m-commerce, four critical success factors need to be monitored:

  • Mobility

  • Personalization

  • Global standardization

  • Customer profiling

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Mobile Computing Infrastructure

  • Hardware

  • Cellular (mobile) phones

  • Attachable keyboard

  • PDAs

  • Interactive pagers

  • Other devices

    • Notebooks

    • Handhelds

    • Smartpads

  • Screenphones—a telephone equipped with color screen, keyboard, e-mail, and Internet capabilities

  • E-mail handhelds

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Mobile Computing Infrastructure(cont.)

  • Unseen infrastructure requirements

    • Suitably configured wireless WAN modem

    • Web server with wireless support

    • Application or database server

    • Large enterprise application server

    • GPS locator used to determine the location of mobile computing device carrier

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Mobile Computing Infrastructure (cont.)

  • Software

    • Microbrowser

    • Mobile client operating system (OS)

    • Bluetooth—a chip technology that enables voice and data communications between wireless devices over short-range radio frequency (RF)

    • Mobile application user interface

    • Back-end legacy application software

    • Application middleware

    • Wireless middleware

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Mobile Computing Infrastructure (cont.)

  • Networks and access

    • Wireless transmission media

      • Microwave

      • Satellites

      • Radio

      • Infrared

      • Cellular radio technology

    • Wireless systems

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Limitations of M-Commerce

  • Usability Problem

    • small size of mobile devices (screens, keyboards, etc)

    • limited storage capacity of devices

    • hard to browse sites

  • Technical Limitations

    • lack of a standardized security protocol

    • insufficient bandwidth

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    Limitations of M-Commerce

    • Technical Limitations…

      • transmission and power consumption limitations

        • poor reception in tunnels and certain buildings

        • multipath interference, weather, and terrain problems and distance-limited connections

  • WAP Limitations

    • Speed

    • Cost

    • Accessibility

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    Limiting technological factors

    • Networks

    • Bandwidth

    • Interoperability

    • Cell Range

    • Roaming

    • Mobile Middleware

    • Standards

    • Distribution

    • Localisation

    • Upgrade of Network

    • Upgrade of Mobile

    • Devices

    • Precision

    • Mobile Devices

    • Battery

    • Memory

    • CPU

    • Display Size

    • Security

    • Mobile Device

    • Network

    • Gateway